SAP Portfolio and Project Management: optimizing IT demand and supply. SAP Portfolio and Project Management enables IT to assess and manage its strategic and tactical stakeholder demands – and, based on overall company strategy and available resources, to define a portfolio of IT projects that will lead to maximum IT contribution. To enable this, the software delivers robust portfolio-management capabilities to optimize your decision making and project execution, while accommodating resource and budget constraints. It manages resource availability and project allocation while directly integrating with back-end software, such as SAP ERP Human Capital Management, for labor rates and costing. Finally, SAP Portfolio and Project Management tracks all project resources and cost, from planned cost for initial investment, to actuals posted against project centers, to forecasted cost. This lets you benchmark against your predefined cost targets. This demonstration shows how SAP Portfolio and Project Management allows you to monitor current projects and evaluate portfolio changes, and analyze projects to ensure success. Monitor current projects and evaluate portfolio changes. Jon Morris is a program manager in his company's program management office. He uses SAP Portfolio and Project Management to view his master project portfolio. Looking at his supply chain project portfolio, he gets a graphical view of current projects organized by go-live wave and other criteria. By drilling into one of his projects, new country development, he can easily assess the project budget, schedule, and staffing data. A red alert under Budget Status lets him immediately see that new country development is over budget. The cost data is being provided by SAP ERP, so Jon knows this is a real problem and not the result of a data-entry error. The overrun is significant, so Jon digs deeper. He can see that the actual cost posted against the cost center for this project has exceeded plan. He tags the project for escalation and decides to discuss the issue at the next controller meeting. Next, Jon has been asked by the CIO to report on options for the implementation of a new invoicing system. When he checks the incoming proposals, he sees the invoicing proposal. Jon will review the validity and completeness of the invoicing proposal and then allocate it to the right strategic bucket to be included in the appropriate review cycle. But first, Jon evaluates the proposal based on a predefined scoring questionnaire. Jon will use these scoring questionnaires throughout the project life cycle to ensure a consistent and effective evaluation process. Analyze projects to ensure success. Jon is preparing for the next meeting of the program management office. He uses SAP Portfolio and Project Management to perform project analysis,looking at the triple constraint of scope, schedule, and resources. He reviews all incoming proposals and sees the invoicing-system proposal. Next, he analyzes the schedules of all the projects he owns to see where he can make adjustments. The software gives him the most up-to-date status of every project. Finally, Jon looks at his financial and human resources. This fast and simple analysis gives him complete oversight of what's going on with his projects and allows him to understand scope, schedule, and resources and drive a related what-if analysis. He sees that by eliminating a less important project, he can make room for the high-priority invoicing projec